New Style ESA is an contribution based ESA Flat rate benefit based on NI contributions paid over the previous 2 years (No income and savings test for contributory ESA) However occupational or personal pension is taken into account and ESA award reduced. (Can do permitted work and earn up to £152 per week)
My question is this - If contribution based on NI contributions No income or savings test Pension is income - so why is pension taken into account? Why is pension income different from general income and savings? Is this not classed as discriminatory?
The first thing I would say is that you cannot claim CB ESA and State pension.
If you receive Contribution Based ESA only then a lump sum payment will not affect your ESA although further ones might, if you take a regular payment then there is an £85/week disregard followed by £1/week deduction for every £2 in excess of the £85.
If you receive Income Related ESA in part or in whole then any lump sum will be treated as capital, see the following
We use cookies on our website. Some of them are essential for the operation of the site, while others help us to improve this site and the user experience (tracking cookies). You can decide for yourself whether you want to allow cookies or not. Please note that if you reject them, you may not be able to use all the functionalities of the site.
